8-day rule for whisky, vodka leaves city resto-bars high and dry
Eight-day rule framed by the excise department to control bootlegging and adulteration of premium Vodka and whisky brands has caused a furore among the resto-bars owners in the capital. Bar owners are worried that they would end-up with huge losses.
The order, which came into effect from October 1 with the aim of checking mixing of liquor and preventing serving of diluted or spurious alcohol, has made restaurants rethink their stock orders. The “time limit rule” applies to sparkling wines, champagne as well as imported vodka and whisky priced in the range of Rs 1,501 to Rs 4,500 (750 ml).
A restaurateur said every bottle they open now will be with a prayer that it sells within the time limit to avoid losses. The restaurateur said he had to flush away most of the contents of two bottles each of three popular whisky brands this month.
Hotels with 4 star or higher ratings have been exempted from the rule.
‘8-day rule will take popular liquor brands off the menu’
He said that with October 2 being a dry day and other days falling within navratra, there was no way he could have sold his stock of opened bottles within eight days.
An excise department official, however, said eight days were enough time for a resto-bar to sell one bottle and his office had no plans to tweak or dilute the order.
A D Singh, MD of Olive Group, said while he understand and supported the government’s desire to control bootlegging and adulteration, the rules framed by the excise department were a huge setback to the industry. It was a very discouraging and demotivating step for all those running clean and honest businesses, he said.
“What we can stock and sell has been immediately affected at so many levels as we cannot risk the cost of unfinished bottles. The time lines given are too short to sell premium brands for restaurants and only busy bars and clubs can move stock at that pace. Overall, it’s a big deterrent to business at a time when we are already grappling with an economic slowdown and serious issues with stock registration in Delhi,” he explained.
Rahul Singh, former president of national restaurant association of India and CEO of Beer Café said hefty fines should have been used as a deterrent for mixing of alcohol, serving spurious liquor or avoiding duties rather than a rule that makes like difficult for lawabiding, duty-paying restaurateurs.
An excise department official said the decision to give eight days to a resto-bar to finish one bottle of whisky or vodka in that price bracket was very well thought out.
“I don’t think any bar would face a problem selling one bottle of 750ml of popular foreign liquor brands within eight days. There were lot of complaints of some bars mixing cheaper brands of liquor in the bottles of premium brands. The new rule has been brought in to put a check on this practice,” said an official, requesting anonymity.
He accepted that the excise department has been receiving a lot of representations from bars as well as their associations to relax the rule. “The rule is only for the bottle which has been unscrewed. It does not apply to bottles that are in the inventory or on the shelf. We have no immediate plan to tweak it,” the official said.
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